All individuals irrespective of their residency are taxed at the same tax rates as follows:

Chargeable income

Tax rate


Up to 19.500


19.501 – 28.000


28.001 – 36.300


28.001 – 36.300


Over 60.000


Special contribution for defense applies on dividend income (17%) and interest income (30%), unless the interest income arises from the ordinary activities or closely related to the ordinary activities of the individual’s business. Such interest will be subject to income tax.

The Cyprus Government passed on the 9th of July 2015 the introduction of “Domicile” concept. According to the amendment of the Law and the non-domicile rules introduced, an individual who is a tax resident of Cyprus BUT is “not-domiciled” in the Republic of Cyprus, will be exempt from Special contribution for defense.

« Back